Tractor Supply Company’s net sales in the second quarter reached the $2 billion mark as the rural lifestyle retail store chain pointed to strong demand for spring seasonal products.
Net sales for the second quarter ended July 1 increased 8.9% to $2.02 billion from $1.85 billion in the second quarter of 2016. Comparable store sales increased 2.2% versus a decrease of 0.5% in the prior year’s second quarter. The comparable store sales results included an increase in comparable transaction count of 2.2% while average ticket remained flat to prior year’s second quarter. The increase in comparable store sales was driven by broad growth across a number of product categories and geographic regions, the company said.
Net income increased 2.7% to $160.6 million from $156.4 million and diluted earnings per share increased 7.8% to $1.25 from $1.16 in the second quarter of the prior year.
Greg Sandfort, CEO, Tractor Supply, said, “We experienced broad based positive sales trends across our business and were pleased to see improved performance across many of our major departments in the second quarter. With favorable weather conditions, we have seen continued strong demand for spring seasonal products into the early weeks of the third quarter, and we believe we are positioned to take advantage of an extended spring selling season. Further, as the connection between our stores and online presence strengthens, we see evidence that our initiatives to provide our customers one seamless shopping experience are contributing to our top line results. With this in mind, we continue to execute against the strategic initiatives that we believe will drive sales and customer service as well as maintain our competitive positioning.”
The company opened 14 new Tractor Supply stores in the second quarter, and also opened eight new Petsense stores during the quarter. The company operates 1,630 Tractor Supply stores in 49 states.
